Employee Superannuation Contributions

Superannuation is designed to provide funds for your workers retirement.

Generally, if you pay an employee $450 or more in a calendar month, superannuation is required to be paid at the rate of 9.5% of the employee’s ordinary time earnings.

Payments of superannuation are due 28 days after the end of each quarter and these must be paid on time.

If payments are made after the due date, those payments are no longer tax deductible – meaning you are missing out on a chance to lower your businesses’ taxable income and you will likely pay more tax!

In addition, you also run the risk on being liable for the super guarantee charge, even if you make the payment later.